ADB approves ₹1,095-cr loan for urban housing in TN

Asian Development Bank (ADB) has approved ₹1,095 crore loan to provide access to inclusive, resilient and sustainable housing for the urban poor in Tamil Nadu. ADB Principal, Safeguards Specialist for South Asia Ricardo Carlos Barba, informed that the state is vital to India's economic growth, contributing 8.54 per cent to the country's gross domestic product. Economic opportunities have increased rural-urban migration in the state, which already has one of the highest urbanization rates in India. Tamil Nadu has a population of more than 72 million, nearly half of which are living in urban areas. The rapid urbanization and growth in the urban population will require adequate urban infrastructure and services, including housing. In fact, Tamil Nadu's housing shortfall accounts for 6.66 per cent of the national deficit and when mapped against income levels, low-income households bear most of the shortage.

It will provide vulnerable and disadvantaged households access to inclusive, safe, and affordable housing infrastructure and services. Through the Tamil Nadu Slum Clearance Board, the project will construct housing units in nine different locations and relocate about 6,000 households vulnerable to natural hazards to safer locations. It will also help Tamil Nadu's Directorate of Town and Country Planning develop regional plans to map the state economic and infrastructure development including affordable housing, environmental protection, disaster risk management and gender.